DEPARTMENT OF DEFENSE

The President’s 2009 Budget will:

• Support the national defense, funding America’s troops;
• Prepare the force and develop capabilities to meet current and future threats;
• Care for the All-Volunteer Force, our wounded warriors, and their families; and
• Fortify infrastructure for the 21st Century.

Supporting the National Defense, Funding America’s Troops

• Supports military readiness. $515.4 billion for the Department of Defense’s (DOD’s) base
budget—a nearly 74-percent increase over 2001. This funding will ensure a high level of
military readiness by sustaining regular and irregular warfighting capabilities, responding to
evolving threats, and supporting our servicemembers and their families.
• Provides resources for the Global War on Terror. $70.0 billion as an emergency allowance to
support activities related to the Global War on Terror into 2009. The Administration will request
additional funding once the specific needs of our troops are better known.

Preparing the Force and Developing Capabilities to Meet Current and Future
Threats

• Grows the Force. $20.5 billion to continue efforts to increase the size of the Active Army to
547,400 and the Marine Corps to 202,000. This amount includes the cost of the additional
forces, as well as their equipment, training, and facilities.
• Continues to reorganize the Army. Supports the Army’s transformation from a division-
centric force to a modular force composed of more flexible and self-sustaining fighting units
with increased mobility and combat power.
• Maintains the Nation’s military skills and operational readiness. $159.7 billion to support daily
operational needs of the Department, maintain combat readiness and training standards, and
support recruitment and retention efforts.
• Continues to enhance special operations. $5.7 billion for the United States Special Operations
Command to continue training and equipping its forces to respond to future requirements to
address a wider spectrum of potential threats.
• Strengthens the National Guard and Reserve. $49.1 billion to recruit, train, equip, and sustain
National Guard and Reserve units that provide critical military capabilities both at home and
abroad.

45
46 DEPARTMENT OF DEFENSE

• Creates AFRICOM. $389 million to

establish a new command to strengthen
ties with African governments, insti-
tutions, and organizations to foster an
environment of security and peace.
• Builds partnership capacity. $750 million
to support allies as they develop and
improve their capability to provide for
their own defense and contribute to the
global fight against terrorism.
• Recapitalizes aging aircraft fleets. $17.3
billion to continue modernization of the
Nation’s tactical aircraft fleets, devel-
Source: U.S. Navy; Petty Officer 2nd Class Brian P. Seymour
oping and procuring fighter aircraft for
Coalition forces and members of the Faryab Provincial and District police
the Air Force, Navy, and Marine Corps to mentor team and Afghan National Police exit their vehicles to begin a
counter potential threats, and to continue patrol near Qala-i-Wali in the Ghowrmach district of Afghanistan.
investments in the aerial refueling and
cargo airlift fleets that provide crucial support to a wide range of military and other national
activities.
• Improves technology to support our troops.
¡ $7.5 billion to support the Army and Marine Corps efforts to provide survivable, capable, and

modern tactical vehicles and vehicle armor to the entire force.

¡ $12.7 billion to continue procurement of transformational warships, such as the first CVN-21

aircraft carrier, Virginia Class Submarines, and DDG-1000 destroyers.

¡ $1.8 billion to continue development and procurement of major unmanned aerial vehicles to

conduct a wide variety of combat and military support missions, thereby significantly reducing
the risks to U.S. forces.
¡ $496 million to combat improvised explosive devices through attacking the terrorist network,

defeating the device, and training the force.

• Maintains leadership in space. $10.7 billion in investment funds to build a robust, secure, and
protected space-based capability, which includes advanced communications and early-warning
and navigation satellites, resulting in a significant contribution to both military readiness and
the Nation’s economic growth.
• Enhances missile defense. $10.4 billion to continue to develop, test, and field missile defense
systems to protect America, its allies, and deployed forces.
• Strengthens intelligence and security capabilities.
¡ Funds military intelligence operations to provide the strategic, departmental, and tactical

information that the Secretary of Defense and military commanders need to defend America
and its interests.
¡ Funds counterintelligence activities to protect U.S. forces from espionage and terrorist attacks

both at home and abroad.

¡ Increases funding by over $300 million to improve the security of U.S. networks and the

protection of defense information.

Caring for the All-Volunteer Force, Our Wounded Warriors, and Their Families

• Compensates servicemembers. 3.4 percent pay raise for military personnel, bringing the total
basic pay increases since 2001 to about 37 percent.
THE BUDGET FOR FISCAL YEAR 2009 47

• Provides high quality medical care. $42.8 billion in

resources, including $10 billion in mandatory funding,
for the Defense Health Program, more than doubling
the 2001 level, to ensure that the brave volunteers who
serve our country get the high quality medical care
that they deserve.
• Sustains the health care system. Aligns military health
care premiums and copayments for retirees under age
65 with general health insurance plans to ensure the
sustainability of a high quality health care system for
our military while preventing unnecessary tradeoffs
with critical military capabilities.
• Cares for wounded warriors. Continues to implement
recommendations made by the President’s Com-
mission on Care for America’s Returning Wounded
Warriors.
• Supports servicemembers and their families. Provides
for activities such as family support programs and
child care programs for military dependents. DOD Source: Fred W. Baker III
is committed to providing military families with a Army National Guard Spc. Marco Robledo is hooked
quality of life that is commensurate with their service, into the harness of the Solo-Step system, which
and recognizes that the strength of our soldiers is allows him to practice walking independently without
danger of falling. This one-of-a-kind system is only at
reinforced by the strength of their families. the new Military Advanced Training Center at Walter
Reed Army Medical Center.

Strengthening Infrastructure for the 21st Century

• Sizes infrastructure to requirements. $9.1 billion for DOD to continue its efforts to shift
military infrastructure for the future as recommended by the Base Realignment and Closure
Commission.
• Adjusts global posture. $649 million for new basing that will continue the shift of defense posture
from legacy Cold War relationships and forces overseas to new structures that provide more
strategic flexibility.
• Supports readiness and environmental protection. $40 million for the Readiness and Environ-
mental Protection Initiative, which has protected over 48,000 acres around military bases to
date.
• Improves housing for retired veterans. Begins a $76 million major dormitory renovation at the
Washington Armed Forces Retirement Home, and continues the rebuilding of the Gulfport Home
in Mississippi.

Major Savings and Reforms

• In an effort to use resources effectively, DOD proposes to streamline and simplify the acquisition
system to provide lasting solutions for: predictable performance in cost and schedule control;
reduced time for decision-making; alignment in the skills of the workforce; improved centers of
excellence; and ever-improving levels of cost-effective support to the warfighter.
48 DEPARTMENT OF DEFENSE

Since 2001, the Department of Defense has:

• Removed two brutal regimes, reduced terrorist safe havens, and captured or killed terrorists
who threatened the United States, its people, and its interests around the globe.
• Adapted effectively to evolving, asymmetric threats, improved its ability to conduct counter-
insurgency operations, and maintained its effectiveness in more traditional warfighting tasks.
• Developed a new national defense strategy and established or reorganized military commands to
lead effectively the Global War on Terror, transform the military, protect the homeland, defend
against long-range attack, and engage in Africa.
• Launched the most significant transformation of the Army in a generation— transitioning from
a Division-based Army to more lethal, agile, and capable Brigade Combat Teams.
• Provided battlefield commanders with unprecedented situational awareness through the
development of the Global Information Grid—a netcentric information infrastructure that
enables rapid data processing and analysis.
• Fielded a broad range of unmanned aerial vehicles that perform reconnaissance, strike, and
force protection activities, transforming the way U.S. forces fight.
• Developed and procured new technologies that detect, disarm, destroy, and protect against
improvised explosive devices.
• Transformed America’s global defense posture, enabling forces to deploy quickly in times of crisis
and ensuring a new global military presence prepared for 21st Century challenges.
• Continued to maintain and sustain an initial Missile Defense system to protect America, its
allies, friends, and deployed forces against attack.
• Delivered aid to millions affected by natural disasters at home and abroad.
• Converted over 31,000 military positions to civilian positions to relieve strain on the military
force and ensure all military personnel are performing “military essential” activities.
• Established the National Security Personnel System, now serving 130,000 civilian employees,
to create a flexible and responsive 21st Century national security workforce.
• Eliminated, via privatization or military construction, over 90 percent of all inadequate domestic
military family housing units.
THE BUDGET FOR FISCAL YEAR 2009 49

Department of Defense
(In millions of dollars)

2007 Estimate
Actual 2008 2009
Spending
Discretionary Budget Authority:
Military Personnel ................................................................................................. 110,407 116,476 125,247
Operation and Maintenance ............................................................................. 146,155 164,171 179,788
Legislative proposal, Defense Health Enrollment Fees and
Deductible (non-add) ................................................................................ — — 1,184
Procurement ........................................................................................................... 83,820 98,985 104,216
Research, Development, Test and Evaluation ........................................... 75,893 76,537 79,616
Military Construction ............................................................................................ 9,167 17,764 21,197
Family Housing ...................................................................................................... 4,004 2,866 3,203
Revolving and Management Funds ............................................................... 2,281 2,691 2,173
Subtotal, Discretionary budget authority .......................................................... 431,726 479,490 515,440

Budget authority from enacted supplementals............................................... 169,215 86,721 —

Additional funding requirements 1 ..................................................................... — 102,373 70,000
Subtotal, Emergency discretionary budget authority ................................... 169,215 189,094 70,000

Total, Discretionary budget authority ................................................................. 600,941 668,584 585,440

Discretionary Outlays:
Base budget and enacted supplementals ................................................... 527,951 554,637 610,594
Additional funding requirements 1 .................................................................. — 26,389 37,688
Total, Discretionary outlays ................................................................................... 527,951 581,026 648,282

Mandatory Outlays ................................................................................................... 1,925 2,032 2,881

Total, Outlays .............................................................................................................. 529,876 583,058 651,163

Credit activity
Total Direct Loan Disbursements, Family Housing Improvement ............ 12 91 59
1
Funding for the Global War on Terror, including the 2008 DOD request currently pending before the Congress and the 2009 allowance, which
may not be limited to DOD.